July homebuilding slumps amid high mortgage rates, rising costs

US housing market weakens as AI boom drives factory output

US housing activity weakened sharply in July, with single-family homebuilding hitting a more than three-and-a-half-year low as high mortgage rates and economic uncertainty weighed on demand. In contrast, factory output rose, supported by strong AI-related investment and demand for high-tech equipment and semiconductor production.

US housing starts fell in July

US single-family homebuilding nosedived in July, falling 16% year-over-year as higher mortgage rates kept the market frozen. High mortgage rates and a dire supply shortage have sidelined potential buyers. While those would-be buyers stay put, many are now relying on buy now, pay later services to help them stay afloat: Affirm, the pay-later app, is providing cash-strapped tenants loans to help out with rent payments.There are some signs of life …

July homebuilding slumps amid high mortgage rates, rising costs

Housing starts were 9.9% lower in July compared with June.

Housing starts recede in July amid market headwinds

Washington, D.C.—Housing starts fell sharply in July as builders continued to contend with economic uncertainty, rising construction costs, labor shortages and elevated financing expenses, according to the National Association of Home Builders (NAHB). Overall housing starts dropped 12.4% to a seasonally adjusted annual rate of 1.24 million units, according to the U.S. Department of Housing and Urban Development and U.S. Census Bureau. The annual…